CROs in Modern-day China

Contract research organization (CRO) outsourcing has become a critical strategy for multinational biopharmaceutical companies looking to reduce costs, time-to-market and expanding their pipelines as blockbuster patents expire. Much of the growth in the CRO industry is coming from emerging markets, such as China and India. China's CRO industry began in 1996 and is still relatively young and fragmented. However, it is growing quickly at an annual rate of 30%. Global CRO giants such as Quintiles, PPD, Covance, Parexel and ICON have invested in facilities in China and some Chinese CROs have grown to become global players. This paper will provide a detailed analysis on CROs in China, including the characterization of companies and services provided, recent IPO/M&A deal activity, trends in the sector, and intellectual property and regulatory issues to consider. Readers will be able to obtain a clear picture of China's CRO landscape. This paper should serve as a guide for companies considering outsourcing R&D to China and investors looking for opportunities in China's CRO industry.